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CHAPTER 10
10. Taxation and Charges
Introduction
10.1.
The question of taxation is considered by the
shipowners to be crucial to the ultimate size of the
register. Shipowners will be reluctant to keep their
ships on or transfer them to the new register if
they find that they will be paying more than at
present. Our 'genuine link' proposals on ownership are
more stringent than the present requirements since they
demand that the principal place of business of the
company owning a ship should be in Hong Kong.
]
Shipowners' Proposal
10.2.
users.
The Consultative Document did not address
taxation at all, except to state the general principle
that the register must be self-financing and the full
cost of the operation of the register will be met by the
HKSOA have in their response requested that they
should be given guaranteed exemption from "taxation on
the profits derived by a shipowner from the operation of
the ships for at least the period during which Hong Kong
as an SAR is to retain its autonomy". To finance the
register, they have suggested the imposition of a first